Increase the value of your business with thorough preparation
Time and effort invested in preparation of selling your business will be rewarded with a smoother and quicker sale achieving maximum value.
Selling a business has similarities to selling a house. Before putting your home on the market you may upgrade your kitchen, repair the leaking roof and acquire an up-to-date energy certificate.
Similarly, by ensuring good business discipline, aligning your markets and your people, and creating predictable revenues, you not only become attractive to buyers but improve the chances of getting the terms you are aiming for, but also reduce the risk of the deal falling through later down the line.
During my MBA at Lancaster University I created a ‘value driver grid’ which has since been used to help many businesses plan meticulously before a successful sale.
I believe to ensure your organisation is in the best position the sale-ready preparations should begin at least 24 months in advance, though I recommend 36 months for optimal results.
Sale-ready preparation should be built into the overall company strategy. Aim for controlled and demonstrable performance, achieving accreditations or awards from relevant associations or bodies and building a succession plan on the back of talent management that will keep the business running smoothly beyond your exit.
Buyers are looking for assurances that their investment will deliver a return
Ultimately, buyers are looking for assurances that their investment will deliver a return against their expectations. The more time and effort you place into proving that this is true of your business, the more attractive and saleable it becomes.
As specialists in getting businesses sale-ready our services go beyond spreadsheets and contracts. Our intimate approach involves creating a bespoke exit plan ensuring we build growing and sustainable businesses achieving increased value for our clients.
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